ABSTRACT
The Extended Input-Output (I-O) Model is a scientific method studying the important issues of social reproduction. In order to illustrate the Extended I-O Model, the chapter examines the Marxian formulation of simple reproduction. The balance between finance, credit and material is a constitutional part of the comprehensive balance of China's economy. The state budget is expended in economic construction, scientific research, development of culture and education. It is also used in allocating additional credit funds to banks, which helps guarantee the credit balance between revenue and expenditure. The supply and demand of consumer goods is mainly an issue about the balance between the purchasing power of residents and the availability of consumer goods, which is an important component of social reproduction. Development of the service sector, adjustment of the employment structure of the labor force, and creation of new employment are also important issues in reproduction.
